Enter multiple symbols separated by commas

Shell Shuts Wells, Starts Evacuations in U.S. Gulf

Shell Oil was pulling nonessential workers from the western U.S. Gulf of Mexico on Tuesday as the company prepared to shut in 5 million cubic feet of natural gas production off the south Texas coast, the company said.

U.S. crude futures jumped $1.11 per barrel or 1.5% to $73.73 per barrel in the minutes after Shell announced the evacuations.

Shell was the only U.S Gulf oil and natural gas producer removing workers ahead of a band of thunderstorms associated with a tropical wave about 90 miles northwest of the Yucatan Peninsula.

The Hurricane Center sent a U.S. Air Force reconnaissance plane to fly through the storm on Tuesday afternoon.

BP , Anadarko Petroleum , Apache , Valero Energy and Marathon said they were closely monitoring the storm and were prepared to take action to ensure the safety of the workers.

"We are watching the situation very closely," said Marathon's Paul Weeditz. "We have not evacuated any personnel nor have we shut in any production." Weeditz said Marathon halted sending nonessential personnel to offshore sites.

Shell pulled 88 workers on Monday night and was planning to pull another 100 on Tuesday. Shell planned to shut in the natural gas wells in the North Padre 975 field.

Contact U.S. News


    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Don't Miss

  • Why women cheat?

    Is cheating bad? Why do women cheat? The founder and CEO of affair website Ashley Madison tells all, including why he has his eye on China.

  • American Pharoah

    As American Pharoah chases the Triple Crown at the Preakness this Saturday, his earning potential can only go up.

  • Banking on your brand: Mika Brezezinski

    Mika Brezezinski, "Morning Joe" co-host, talks about giving women, entrepreneurs and millennials the tools to live and work to their full potential.

U.S. Video

  • Cramer: Here's a sign the market could rally

    Wall Street's been soaking in red, but "Mad Money" host Jim Cramer has one signal to watch for that could point to another run.

  • Burger war maneuvers

    Cramer looks at the number of company's selling burgers and tries to determine the quality names, as well as those to avoid.

  • Cramer: What's driving defense?

    Cramer says that even though President Obama has made it clear the US can no longer be the world's policeman, the country can become the world's arms dealer. Profiting from defense spending.